Lovesac (NASDAQ:LOVE) Releases FY 2026 Earnings Guidance

Key Points

• Lovesac updated its FY 2026 earnings guidance, forecasting EPS of $0.520-1.05, significantly below the consensus estimate of $1.560.
• The company projected revenue guidance of $710.0 million-$740.0 million, slightly above the consensus revenue estimate of $709.4 million.
• Lovesac's stock opened at $20.75 with a market capitalization of $301.91 million, and the average rating from analysts is a "Buy" with a target price of $30.40.

Lovesac (NASDAQ:LOVE - Get Free Report) updated its FY 2026 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of 0.520-1.05 for the period, compared to the consensus estimate of 1.560. The company issued revenue guidance of $710.0 million-$740.0 million, compared to the consensus revenue estimate of $709.4 million. Lovesac also updated its Q3 2026 guidance to -0.830--0.51 EPS.

Lovesac Stock Performance

Shares of NASDAQ:LOVE opened at $20.75 on Thursday. The stock has a market capitalization of $301.91 million, a price-to-earnings ratio of 29.64, a price-to-earnings-growth ratio of 0.62 and a beta of 2.35. Lovesac has a 1-year low of $12.12 and a 1-year high of $39.49. The company's fifty day moving average is $18.86 and its two-hundred day moving average is $18.75.

Lovesac (NASDAQ:LOVE - Get Free Report) last issued its earnings results on Thursday, June 12th. The company reported ($0.73) earnings per share for the quarter, topping analysts' consensus estimates of ($0.81) by $0.08. Lovesac had a net margin of 1.99% and a return on equity of 6.70%. The company had revenue of $138.37 million for the quarter, compared to analysts' expectations of $137.20 million. During the same period in the prior year, the company earned ($0.83) earnings per share. The firm's revenue was up 4.4% compared to the same quarter last year. Sell-side analysts expect that Lovesac will post 0.39 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on LOVE. DA Davidson reiterated a "buy" rating and issued a $24.00 target price on shares of Lovesac in a research report on Tuesday. Wall Street Zen upgraded shares of Lovesac from a "sell" rating to a "hold" rating in a research report on Saturday, July 12th. Five equities research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the stock currently has an average rating of "Buy" and an average target price of $30.40.

Insider Activity at Lovesac

In related news, Director Walter Field Mclallen purchased 1,950 shares of the firm's stock in a transaction that occurred on Friday, June 20th. The stock was acquired at an average cost of $18.08 per share, for a total transaction of $35,256.00. Following the completion of the acquisition, the director owned 40,000 shares in the company, valued at $723,200. This trade represents a 5.12% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 12.46% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Lovesac

Several hedge funds and other institutional investors have recently added to or reduced their stakes in LOVE. BNP Paribas Financial Markets increased its holdings in shares of Lovesac by 130.4% during the second quarter. BNP Paribas Financial Markets now owns 1,938 shares of the company's stock worth $35,000 after buying an additional 1,097 shares in the last quarter. Russell Investments Group Ltd. raised its holdings in Lovesac by 80.3% during the 2nd quarter. Russell Investments Group Ltd. now owns 12,917 shares of the company's stock worth $235,000 after purchasing an additional 5,754 shares during the last quarter. Rhumbline Advisers raised its holdings in Lovesac by 15.9% during the 2nd quarter. Rhumbline Advisers now owns 24,550 shares of the company's stock worth $447,000 after purchasing an additional 3,376 shares during the last quarter. Invesco Ltd. raised its holdings in Lovesac by 17.9% during the 2nd quarter. Invesco Ltd. now owns 39,315 shares of the company's stock worth $716,000 after purchasing an additional 5,976 shares during the last quarter. Finally, Empowered Funds LLC raised its holdings in Lovesac by 8.1% during the 1st quarter. Empowered Funds LLC now owns 55,925 shares of the company's stock worth $1,017,000 after purchasing an additional 4,200 shares during the last quarter. Institutional investors own 91.32% of the company's stock.

About Lovesac

The Lovesac Company designs, manufactures, and sells furniture. It offers sactionals, such as seats and sides; sacs, including foam beanbag chairs; and other products comprising drink holders, footsac blankets, decorative pillows, fitted seat tables, and ottomans. The company markets its products primarily through www.lovesac.com website, as well as showrooms at top tier malls, lifestyle centers, mobile concierges, kiosks, and street locations in 41 states in the United States; and in store pop-up- shops and shop-in-shops, and barter inventory transactions.

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